>> we have to nail that down. you can see the investment numbers. they are very weak and that's because businesses are worried. >> mark, thank you very much. we appreciate it. thanks for being here. you have a great weekend. right now listen for more on verizon. "the street" crew will have that for you. we'll be back with you on monday. as becky said, 171,000. that is the jobs number for october, well above estimates, carrying a lot of political fuel with election day just five days away. good morning. welcome to "squawk on the street." i'm carl caquintanilla with melissa lee and david faber. not just the 171,000 for the month but positive revisions we'll talk about in a moment. a busy day in europe as well as we start to talk more about the big events that will happen with

the eurozone, both central banks and the greek government that starts next week. our road map starts with the jobs number that beats even the highest expectation on the street. 171,000 is the number with another 84,000 in revisions higher for the past two months. unemployment ticks up to 7.9% as the participation rate rises. is the number really as good as it looks? >> the death toll from sandy now stands at 94 as more than 3 million homes still without power now facing colder weather, gas lines stretch for miles and controversy surrounding new york's decision to hold the marathon this sunday. the ipad mini on sale but lines are shorter than expected. we're live at apple stores for the reaction. and starbucks, same store sales up 7% well above expectations. what is howard schultz doing that mcdonald's, chipotle and

other restaurant chains are not? >> the report before tuesday's election. nonfarm rose in the month of october above forecast of 125,000. august and september figures were revised higher, 184,000 private sector jobs were added last month. the unemployment rate ticking higher to 7.9%, but this was in line with expectation. it is the private company jobs addition that are the real highlight. government hiring contracted, so with all the private sector that was behind stronger than expected number here. >> that despite the fact it seems businesses have been reluctant to make significant additional investments beyond what's needed to run their businesses, something we talked a lot about. the economy has seen more focus on the consumer rebound than on a business rebound. one wonders when and if business were to get in the game those numbers would even be better. >> that could all change in five days with the election next tuesday. long-term unemployed, 14,600.

marginal relief on that front. in terms of the long-term unemployment out of work for a year or more 3.57 million. a year ago 4.boy 1 million. so even those people who have been out of work for a very long time starting to get some nibbles. at least that's what it appears. more reaction to the numbers from dean mackey joining us from barclay's. good morning to you. >> good morning. >> any hair on the numbers, so to speak, as far as you can tell? >> i think this was a followed report when you look at the broad categories of job growth, when you look at the participation rate rise. the only underlying softness was in ourly earnings, but that really doesn't change the sfoer of where we've been. boug bottom line, the labor market has picked up some of the momentum after slowing down this summer. still a moderate recovery, though. >> yeah. the raining on expectationses

w was 30,000 on one end. that beats even the top of the range. how could people have uniformly underestimated the number? >> the problem here is we're getting these upward revisions and so what happened last month the number was 114,000. that's been revised up significantly. if everyone would have known what that number actually was, we probably would have had higher numbers going into today's number. so it's just part of the game here, these upward revisions. >> look iing forward, dean, wit the hurricane and the impacts from the hurricane, this may be one of the last clean data points we have for a while. how long do you think it will take to work its way through some of the economic data so once again we can see whether or not the trajectory in terms of the upward revisions and stronger than expected number for the month of october is really part of the trend? >> well, i think what this number tells us we did have good momentum going into the hurricane. now the hurricane probably is going to distort the november numbers notably.

by december i would expect the rebuilding would start to be shown. the real tricky part of this is you'll have near term negatives, some rebuilding that pushed higher. whether that happens in december or january is unclear at this point. >> is there any sense on your part there's real momentum here? since july we've had 173,000 jobs versus, i think, 67,000 april through june. does that speak to more momentum as we head into next year or is it more or less going to stay at this level? >> i think what this is telling us we're back to the average of this recovery. so that we have the slowdown in gdp growth, job growth slowed down. now in q3 we've gotten back to the underlying trend, both in jobs growth and gdp growth. now that trend is not particularly strong relative to past recoveries from deep recessions but it's better than what we saw this summer. >> obviously the number doesn't live alone. we've gotten ism recent ly,

consumer confidence and retail sales numbers, the pmi even in china, not just here. are you beginning to feel this all working in a benevolent route? are we seeing some cyclical strength here? >> i think what we're seeing is consumer spending is showing some resilience. and that's really the swing factor that slowed down this summer and is picking up now. the housing market is picking up, housing investment. still weak right now is business investment spend iing. that isn't really showing much signs of pickup so businesses are very concerned about the uncertainty they're seeing. consumers less, though. they are willing to spend the income they're receiving and that's what's driving the economy forward right now. >> it wasn't too long ago, dean, we were talking about the possibility of qe-4. given this number do you think 4 is off the table? >> well, it depends on how you define it. we think operation twist will be converted to an outright purchase program so the fed will keep buying 85 billion per month

in securities even beyond december. and i don't think this number or the past few numbers will really change the fed's mind about that. the fed wants to see numbers more like 200, 250, 300 and the unemployment rate slowing much lower than now before they would stop buying. >> dean, appreciate your insight today. a lot of people watching those numbers. thanks so much. dean maki over at barclays. turning to the storm. lines at gas stations and many parts of the tri-state area remain long and frustrating as the hunt for fuel becomes more desperate. there are reports of one queens, new york, man being arrested after cutting a line and pointing a gun at another motorist who complained. tom costello joins us live from the vince lombardi service station located along the new jersey turnpike where he, himself, has had a pretty interesting morning, haven't you, tom? >> reporter: you heard about that, huh is this i was supposed to be here for the "today" show at 7:00 a.m. and my car, we couldn't get here. the bottom line is i had to hoof it in, get out and walk up the

jersey tp to get here in time, about a mile and a half or so. here is what's going on behind me. we're between the lincoln tunnel and the george washington bridge. it is backed up significantly. the real story is all the way over here because the police are really trying to watch who is coming in and trying to keep some order here and you mentioned why, what happened in queens yesterday. take a look, this line extends -- well, i can tell from you personal experience, at least a mile and a half to two miles, probably longer by now because i started walking at about 5:45 this morning all the way up and around the ramp, down around it wrapped around the jersey tp. it's a long line indeed. it extends all the way down to philly. the problem is that many gas stations are out of power and as a result they can't pump gas. if they do have gas they're running out of gas.

and why is that? two of the refineries that are on the east coast right here in the new jersey area, two of them have been down and are either still off line or limping back into service and very slowly at that. the port was closed for a good time. they couldn't off load the fuel on the ships there. we are expect iing some progres in that regard today and then if you do have, of course, fuel in the big tanks, those huge tanks that sit on the jersey turnpike, you have to get the fuel out and get into the truck. if you have no power, you can't get the fuel out. this is not a problem of not enough gas in the system. it's here in the area but you can't get it into the trucks. you can't get the trucks necessarily to the gas stations always and then you have a problem of the gas stations can't pump it because they have no electricity. so this is kind of a compounding problem and you know what gridlock is like here in the area. there is no immediate timetable for when this will get better.

it's a slowly rolling forward scenarios they hope can improve over the course of the next few days and yesterday secretary of homeland security napolitano was saying the coast guard is expediting trying to get the port moving as quickly as they can. carl, back to you. >> tom, gas rationing started in new jersey, i believe, today. how is that impacting? are the lines growing or helping things out? >> reporter: no, they're moving very well and i think if i'm not mistaken that's really town by town, melissa, unless you know something i don't. i just asked the police and the guys running the gas station here and they're not limiting people to a certain amount of fuel. you can fill up your tank. they have 30,000 gallons of gas here at midnight and the guy who runs this place says we can get more and more and more all day. they're not worried about running out here at all. do you want me to hold you a place in line? would that be helpful? >> it sounds like some savvy entrepreneur should be saving their point in line. i wouldn't be surprised if it comes to that.

>> nice to have you in the neighborhood, tom. >> reporter: nice to be here, guys. yes. >> we miss you. tom koss costello. verizon out saying that sandy is going to impact the quarter. "the journal" talking about wireless companies in general, these backup plans are going to start to get some scrutiny in the wake of the storm. >> well, they've had to spend a lot of money. the main purpose was to come out savings verizon was going to see of its new union account. we're not in a position when they reported numbers, the quarterly numbers at verizon to give us that but they have $250 million to $500 million seen in annual cost savings with the 43,000 workers who are covered by the cwa. that will not begin until 2013

increasing over time. as carl said, part of that ak at the end they also say, listen, we're not in a position at this time to estimate the impact that sandy has had on our business and required remediation will have on our operating results but we expect that can it could be significant. that's all we have in terms of any sense as to the financial ramifications of what they've had to do to deal with massive flooding. their headquarters in the key areas are right down here not far from the new york stock exchange as we know and that's expensive to get on the ground. >> yeah. i think "the journal" takes a krcrack at some providing the pumps. my commute home yesterday you saw crew after crew with large coiled tubes, right, piping, threaded into a manhole and water being sucked out and put in a the drainage ditch, the sewage ditch, so to speak, and that's happening all around lower manhattan. >> so much water out there

still. you probably saw the headlines at the bougttom of your screen terms of impact on business, delta airlines out with a press release outlying the impacts it is dealing from sandy. revenue hit $45 million. profits reduced by $20 million in the month of october. still assessing the november impacts but the november impacts will, in fact, be less. this is something we will continue to hear in the days and week to come and businesses get a handle on what the impact actually is at this point. delta airlines has canceled so many flights. it is you'lly not moving much in the free market session. today is a big day for apple. the ipad mini and fourth generation ipad going on sale hitting stores in two dozen countries today. the watch is on to see how the gadgets fare in the wake of hurricane sandy. already lines at apple stores across asia have been smaller than with previous product launches. it costs $329 for a wi-fi only

version, more expensive than similar devices like the kindle fire. tokyo and hong kong and australia, the lines have been much shorter. expectations in terms of first weekend sales are much smaller because this is an attractive gadget for a subset as opposed to a broader population. >> iphone 5, what did we get 5 hel million to 6 million? >> it was 5 million the first weekend. >> so gene was looking for 6 million to 10 million. this time 1 million to 1.5 million for the weekend, right? and then we'll cage what kind of supply constraints are in place. they've pushed back some delivery dates when they first got the first few orders of online requests, right, online orders. so it's not at all like a new iphone version being released. >> and the competition here is much stiffer when it comes to the ipad mini as opposed to a competitor to the iphone.

last weekend amazon was hitting it hard on their website. they had a side-by-side comparison and their headline on their webpage was much less -- much more for much less. >> of course the iphone 5, not the mini, we are still dealing with the constraints, how many apple will be able to produce. that has been a key question heading into the holiday season. while the stock is off substantially, up 43% for the year. >> although under 600. >> we'll talk with top white house executive alan krueger. sandy not stopping one home furnishings retailer from going public today. restoration hardware is back on wall street. we'll talk to the ceo and the

founder after the first trade. one more look at futures as we close out this incredible week up 40. up. a short word that's a tall order. up your game. up the ante. and if you stumble, you get back up. up isn't easy, and we ought to know. we're in the business of up. everyday delta flies a quarter of million people while investing billions improving everything from booking to baggage claim. we're raising the bar on flying and tomorrow we will up it yet again.

welcome back to "squawk on the street." i'm sharon epperson at the nymex. u.s. jobs data sent gold prices sharply lower, below $1,700 an

ounce. the first time we've seen gold this low since september 7th. we did see a lot of stocks go under way as we got the jobs data. oil prices are slightly lower, the stronger dollar pressuring oil prices as well as several e refineries still shut here along the east coast due to hurricane sandy and gasoline futures up slightly but the national average keeps coming down, $3.50, down 8 cents from a week ago, down 28 cents in the month. back to you, carl. >> thanks so much, sharon epperson. the coast guard opening the port of new york and new jersey on a restricted basis allowing the backlog of barges allowing gasoline and fuel into the area. how soon might we see in the areas affected by sandy? good morning, kate. >> reporter: good morning, carl. i just returned from the dockses behind me where dry dock work ers are hoping to get themselves ready for new ships to be repaired as early as monday. they have a waterfront view of what's going on in the port of

new york and new jersey which was just reopened only to petroleum bearing vessels around noon yesterday. as soon as the coast guard lift that had ban, i'm told, the workers say there was an influx of barges and tugboats, the only type allowed right now. under normal circumstances those ships deliver about a million barrels of petroleum products per day. less action so far this morning. no doubt, at least in part, because of continued power shortages in the region of northern new jersey. local food markets are running on generator power as are the dry dock guys i met. many people are still waiting for local power companies to turn the lights back on. hampering shipping activity in the area. the coast guard estimates they see about 15 container ships per day. with all the variables in the mix, melissa, they told us they have no idea how many vessels we're likely to see coming this week or next. wow.

kate kelly, thanks for that. a veteran voice speaks out on what is at stake for the markets. art cashian is next and trip adviser soaring on news and an interview with the ceo is coming up next. what he is saying about sandy's impact on travel. let's take a look at futures as we head into an abbreviated week. the s&p looking out at six at the open. ught from us online to. so, i'm happy. sales go up... i'm happy. it went out today... i'm happy. what if she's not home? (together) she won't be happy. use ups! she can get a text alert, reroute... even reschedule her package. it's ups my choice. are you happy? i'm happy. i'm happy. i'm happy. i'm happy. i'm happy. happy. happy. happy. happy. (together) happy. i love logistics.

six minutes until trading begins. let's bring in our financial services, art, very strong

payrolls report. >> yeah, it was. initially it was greeted with a mild hint of suspicion because a big dollar for seasonal adjustments in the new one. when you saw theery revisions this the previous two months, that's confirming. we've seen the trend down in initial claims. all of this has been reconfirming that it's at least improving. and i think second day of the new month more money getting put to work and that's why you're seeing a little bounce at the open. >> so just a little bounce and it's also because of money flowing in so it almost seems like traders don't want to get completely bullish because of the jobs report sole ly. >> well, i think they want to lean that way. we do have a rather large powerball lottery on tuesday next week and this is real power in the powerball. so i think they'll wait on that

a little bit. new money to be put in. you don't want to get caught short so it has to get invested. as long as the news appears to be supportive in any way, you want to tap in. >> yesterday gary's point was that because activity here is limited, right, admittedly, a lot of buy orders coming from europe, watch in the afternoon. it kind of happened but it didn't really. >> no. no. >> watch for it today? >> and i'm not sure you're going to see it again today. yesterday was interesting in the fact that europe was not a negative. the euro was slightly weaker but the european stock markets were better. and so they weren't in the way. it was the first day of a new month, brand-new money, and you had those things that made it look like the payroll number would be at least okay. so i don't want to disagree with gary, but i think it was fully more than 50% demand from here. >> of course we have the election on tuesday. any expectations? on monday, i would assume, is not going to be too much. nobody making too many

decisions. >> not -- >> maybe next week. >> unless there's some real surprise in the polls. i mean, it looks like it's going to be a potentially tight race. there are even people talking about computer runs that could show the president being re-elected by one electoral vote and romney getting the popular vote particularly because of the storm on the east coast, you know, new york, new jersey, and connecticut tend to lean democratic, so you might have fewer public votes from the democrats. it's going to be interesting. i would not like to see that happen. i think the country is a little too strained already. >> lawyers already waiting by the phones. thanks, art. have a good weekend. art cashin. the october jobs number, sandy's impact on the economy, the future for job creation and a presidential election. we'll discuss it all with adviser alan krueger in a moment. plus, restoration har wear jumping into the i po waters. the ceo and founder after the

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we're back to watch what some traders are calling the first real test of the market this week because we have the first ipo opening after sandy, restoration hardware. we'll talk with the ceo in a moment. we're told the idea of delaying it was never really seriously broached. the only question was whether to get everyone here it physically. it appears they're going to do that, work on this and we'll see how liquidity operates in the new environment. the salvation army helping those in need during hurricane sandy and our thanks to them after all the good work to them. >> restoration hardway isn't the only ipo in the test of the markets post-sandy. we have a natural gas partnership and dkl also pricing light restoration hardware at

the top end of its range. so it's a big day here overall. restoration hardware, right behind us. a bird's eye view of what's going on with this. priced at $24 which is the top ebbed of the range, $28 to $30 looks like the range right now. we'll see where this goes as we approach it and the range starts to narrow in and we get a better eye tea. >> there's a big difference from the ipos we've seen. it is being sold by sponsors. it would take a number of years ago and so it is leveraging exercise in terms of money that is raised from the ipo. some of it will go to pay down de debt. those have not been as well received in the market as have some of the others that we've seen. >> over the medium to longer term, it's going to -- people are going to want to know their view on housing. it's called restoration hardware.

a lot of it is going into a new starts that hold up, the new home sales hold up. >> the trend as we take a look at other companies and they've had stellar years. pier 1, for instance, up 50%. up 20 plus percent in 2012. as far as the home retailer which is what restoration hardware is because their target has an income of more than $200,000 a year. it is working for them in terms of what is being appreciated in the marketplace. >> it brings to mind ralph lauren which has a home division. very high margin home division. $229 versus a $215 estimate. they did lower their full-year sales forecast and say they are incrementally more cautious and the consumer given what's going on in the global economy. >> it is amazing as the shares are higher by 2% though now

saying revenue growth will be 2% to 3% versus a mid single digit but they have been proactively cutting shipments to europe so recognizing the fact that's a lower trend there and much better than feared in terms of the earnings they reported. we do want to check in with bob pisani down here at restoration hardware to see the trading. bob? >> reporter: this is looking very promise iing. remember where we were at $22 to $24 was the price range yesterday. they priced it at $24. the early talk was a $2 pop. that's what a lot of people had. businesses are handicapped by people based on the demand for the size. right now we're looking at $30 to $32 right now. that is a significant pop. so, remember, the general street feeling was it would open around $26 after pricing at $24. we're talking $30 to $32, so that's pretty significant. and remember something, these deals are kept small. the sizes of these deals are kept small.

that's what's made a lot of them successful. some other ones over there, south cross energy priced at $20. that's $21 to $23. i can't quite see the other one but that price at the high end, $21 and that looks above as well. so we have three ipos, two of them are energy. all of them are looking pretty good. $31.50 for restoration hardware. once you start narrowing the range, that means it's getting closer to open. this would be a fan ttastic ope given what's been going on this week and a great time -- a great time for a company like restoration hardware and a name like that to go public. right back to you. >> okay. we should point out starbucks was up sharply this morning. the stock up over 8% -- excuse me, over 9% on fourth quarter numbers that were better than had been anticipated.

they had $3.4 billion in total revenue, up 11%. that's the largest amount, a record for starbucks. they were able to drive traffic growth up by 5% in the americas as well as 5% globally. very interesting to see there. >> points out margins on an operating basis different than a apple retail stores which is mind blowing. the jobs number, of course, coming in better than expected. nonfarm up 170,000. alan krueger on president's council of economic advisers. good to have you. welcome back. >> good morning, carl. >> walk me through what you think is most important, because people have had a hard time finding any flaws in the report given the revision -- the successes and failures as far as you see it? >> you know, carl, every month when i get this information i

try to take a step back and look at it in the context of other information that's coming in and i think we see a picture of an economy that's healing, that's recovering from the deep problems that were created from the recession back in 2008 and the problems that frankly were building up for years before that. in today's report, we see that over the last year we've added 2.1 million. before that 1.9 million. the unemployment rate is down a full percentage point in the last year. we're moving in the right direction and what we need to do is build on this progress, and that's been the president's goal all along. >> i've seen one data point out and, correct me if i'm wrong here, average job growth per month for the year 157,000. last year 153,000. the healing process is happening but not accelerating necessarily. at what point do we get to a stage where we are creating enough jobs to make up for new?

>> we are creating enough jobs at the moment to make up for new entrants but not as fast as we'd like. the last four months we've added 174,000 jobs a month. this is the reason the unemployment rate has been coming down. we want to build on this progress. that's why the president wants to extend the tax cut for middle class families so that come next year they won't be hit by a $2,000 tax increase. that's why the president wants to provide funds for state and local governments to keep teachers on the job, and that's why the president has been pursuing legislation and working on his own to help families refinance their homes. we're seeing stabilization in the housing markets nationwide which is reflected in these numbers. we saw construction growing, for example. >> alan, we have to talk about hurricane sandy and the impact on the economy. there are so many firms out there, catastrophe modeling firms, economic firms that have doubled and increased their

estimates for economic as well as insured losses. as the situation unfolds, what is most concerning because there aren't any models, no examples of past disaster hitting such a densely populated area as the northeast, less than our benchmark. >> well, melissa, first we have to view this as a human tragedy. there will be time to think about the economic damage. i should say i was born and raised in new jersey. i taught at princeton for the last 25 years. my parents live in new jersey. they've been without energy and heat for the last few days. what's most important for the economy is to do what the president has instructed his team to do which is to work with the state and local government officials to restore power to get the transportation infrastructure up and running and there will be times to look at the economic can data down the road but, first, we're working around the clock. the president's team working around the clock to help address the human problems right now.

>> dr. krueger, back to our economy for a moment. you know, it does seem as though businesses are still sitting on their hands to a certain extent, many of the measurements we get to judge that. investing just enough or perhaps not enough to really create a lot more jobs whereas the consumer seems to be gaining confidence. what is this administration going to be able to do if it remains in power to try to change that dynamic? >> well, i think what we're seeing is the ebb and flow of a recovery. there have been times investment was stronger. as consumer confidence continues to grow, and that's what we're seeing now, as families teal that they've worked through a lot of their financial problems created by the recession, i think you'll see businesses investing to expand their capacity. manufacturing capacity is now back at a relatively high level, so increases in demand will lead to further investment down the road. >> dr. krueger, i want to ask you a serious question. last month nfp number, as you

know, the veracity of it, the accuracy of it, was highly questioned. and you know what i'm talking about. is there any sense at the white house today that this number confirms that, proves that number wrong? >> you know, all serious people who understand the way government statistics work recognize that the data are put together by career government employees. they work very hard. many came in during the storm to make sure that today's report was released on time. and if you look at all the indicators coming in, we see a picture of an economy that's heali healing. we see that in the consume earp confidence numbers, in the housing data. we see that in recent job reports. so i think it's all pointing to a picture of an economy that's moving in the right direction and it's important that we continue to build on this progress. that's why the president wants to extend the middle class tax cuts. that's why he wants to make sure -- >> but you're not commenting specifically. you will not comment specifically on the accuracy of

the data, of the methodology, the actual number that comes out of labor? >> i say every month these numbers are volatile. they move around, they get revised. it's important to look at a wide range of indicators. the professional economistses who assemble the data are absolutely first rate. the methodology has been developed over a period of years and the u.s. economy is hard to measure. that's why it's important to take a broad look and not overreact to any particular report, try to keep the numbers in perfespective. >> dr. krueger, thank you so metropolitan for your time. good to see you as always. >> thank you. >> alan krueger from the white house. we continue on ipo watch, one of the three here at the new york stock exchange trading higher, $23.20 the last trade. i want to go to bob pisani in the crowd. restoration hardware, bob, it looks like the top end has

risen. >> reporter: yes, $32 to $32.25. remember, the range here, $22 to $24, priced at $24. the talk and they hand icap basd on what they think the demand is, but $2 at $26 looking at $32. i am told the deal was 28 times over subscribed and you don't have anything to compare that to, that's a lot. you hear four times oversubscribed but on those numbers that's quite a remarkable number. remember, the ipo trend here, keep the size smaller. we're dealing with over 5 million shares. that's not a lot. the two limited partnerships that went today. their dollar size is bigger than this company. so that's what's going on here and that's the important thing here. coming up we'll have the ceo and the chairman both standing right over there wait to go make the very first trade. remember how this works, this is an actual open outcry to the people standing here in addition

to family members here, some little kids right over there, all people with big orders and the fellow in front, glenn, is the dmm, the designated market maker. and there's going to be literally people just shouting out things. right now it's quiet. they're waiting for a final number. i would say we're about two minutes away. they will nen announce they're freezing the books, waving hands, no more orders can go in and they'll open it within 30 seconds after that. i hope you notice that the market is up here a little bit off of the high. it's better than expected nonfarm payroll numbers really help here. melissa, i have a lot of questions about the dollar rising. qe, are profitability of qe is dollar positive and an improving economy helps as well. did you notice, melissa, gold dropped to below $1,700. that's a two-month low for gold. hold on. we're going in one minute. we have $32.25. it's going to be $32 to $32.25.

they will announce the freeze in the book. 800,000 shares at $32 it looks like. holding on that. the deal maker can come in at the last second before they freeze the books and have additional shares to buy or additional shares to sell. $32 to $32.05. when it's a nickel you're getting close to it happening any second now. the other thing that's important, by the way, cold weather has just hit new york and one of the traders just mentioned there was a long line outside of the store that makes uggs. that stock has been down badly. today it has been upgraded because they think the uggs style is still very much in and they'll do better in the cold weather. deckers was at $75, five, six months ago. went down to about $30 on the theory that uggs was over as a

fashion trend. they say that's not the case. we're going on restoration hardware. we have an open at $32. it's right there. i'm still waiting for the guy. this is part of the suspense. the little kids were clapping. that was the important thing. we're still holding at $32. we're waiting for it. that's the important thing here. >> in the cop text, bob, the sector at-large, pier 1, up 50%. >> reporter: that's a good point. >> pottery barn, ethan allen up. >> reporter: and the important thing is they've been trying to distinguish themselves from the pottery barns of the world. you go into restoration hardware -- restoration hardware opens at $32.05. opens at $32.05. that is a victory under any

circumstances. you talk about good timing and my point earlier they are not competing against pottery barn. it's not the emphasis on hardware but more upscale furniture. empl employees hugging each other here, family members, several little girls over there all related to the founder and, of course, we'll have them come over here in a minute. there you see a lot of people congratulating each other. a big day for them. a lot of very happy people here and a lot of upscale furniture being sold. we'll bring in the sceo. gary friedman is standing by. there he is. guys, back to you. >> all right, thank you, bob. and you saw there in the crowd as well the ceo. what a rough week for everybody here, but one week that has proven to be historic. >> i think we're seeing hugs and cheers at a time a lot of people are suffering. i think a lot of what's

happening here is just relief. relief this got done today. we didn't know if the exchange would be open in the middle of this week. >> no, we didn't. we're still dealing with a city that's been crippled. that is not fully functioning. many of our key transportation areas and things of that nature and public schools still closed. just the fact we're here and we have been for the third day in a row when the heart was the storm was hitting. >> michael dowd is the first to open under generator power. >> that and the -- >> out fueling those generators. what is interesting, of course, carl, we're seeing an enormous increase above where it was priced. we have seen a number of these of late. there does seem to be euphoria in the initial public offering market and this despite the fact this was one of the sponsor deals which i said earlier has not been, perhaps, quite as enthusiastically embraced by investors as some of the straight ipos where all the

money is being used for growth capital. >> let's head to the bonds. rick santelli in chicago. good morning, rick. >> reporter: good morning, melissa lee. obviously we found 84,000 jobs, revisions over the last two months, better than expected. headline nonfarm establishment survey number and if you look at the charts what's fascinating is from the five year down the curve to the short like two years, for the week you see yields still lower. but as you look at these charts, look what happens. you see 5, 10, 30, a bit of a different path, more after response deepening. that makes sense. foreign exchange, it was all about the dollar today. the dollar really likes the data. or you could say the euro and the yen didn't like the data. if you look at the euro versus the dollar you can see the euro sliding. you look at the dollar versus the yen in the second target, the dollar soaring and really making some inroads against the

yen and the culmination is a good dollar index. obviously we have factory orders but that didn't going to chak the tone of the week. we have a tail wind with the better jobs report. melissa lee, back to you. >> really quickly, rick, alan krueger says, quote, serious people understand that the people over at labor put together legitimate data. what do you think? >> reporter: i think so. as a matter of fact, i'm going to duck out of the shot a minute and come back. but no matter how educated all these people are, they still don't seem to acknowledge on their own website that if you look at february '09 through today including revisions in numbers, we've created under this administration 194,000 jobs. it's on the bos website. i've printed out 40 copies, passed it out to the floor so they can double-check my math. >> all right, rick. good to see you. see you later on. here at the big board, ipo excitement is back as restoration hardware is going public again.

we'll talk to chairman americas next.

let's welcome restoration hardware ceo and founder gary friedman celebrating their company's ipo today. great to have you with us. >> thank you. >> thank you. >> and certainly there's a tr tragedy unfolding around us in the tri-state area but earlier this week did you think you'd be here ringing the opening bell issuing your stock once again? >> we are a team of very determined, passionate people and you don't know what can be done. yes, we were completely committed. our hearts go out to all the victims, all the eastern states that are going through this did difficult time but very excited to be here. >> what can you tell us about the consumer and whether you've seen a pullback as we head into the elections, this period where

there's uncertainty surrounding the fiscal cliff? >> we are very excite d about what's in front of us and that has been everything that has impacted us has been very strong. >> this was once a public company. it went private. it is private again. was there anything beneficial about having been a private company? what were you able to do the last four years privately you may not have been able to do publicly if you stayed in the public market? >> quite a bit. as you know, when we went private also we ran into one of those worst economic times facing the home industry and the ability to kind of accelerate our transformation as a private company allowed us to move more quickly and more decisively and

ended up in a good place. >> so why not stay private if you have more flexibility? >> we have big plans, ambitious plans, and the ability to raise some capital to start to transform the next -- to turn the chapter and move the can company in the next stage of this growth was important for us to access the capital markets. and so we're excited about the opportunity that gives us. >> you mentioned those plans. you're going to have a lot of square footage over the next few years moving somewhat away from a mall model. is there something about malls you did do not trust? >> we have become a nation and we believe we can make a significant offering and presentation and that has a tremendous opportunity from the business model, significantly stronger. >> what does that mean?

what does that mean when i walk into restoration hardware? >> we don't have anything against malls but we changed everything from our product, our brand positions, our supply change. there's one thing that remains from the old company and that's the old real estate and so we built one of the most dominant brands we believe but the assortment is locked in the old real estate. to put that in the proper experience we believe will create a lot of value. >> i'm sorry, can you unpack that for me, i mean, in terms of the real estate. do you own your real estate? >> no, no, no. all of our legacy leases. the former version of the brand was cash and carry. today we're just less than 10% cash and carry. we're a true did design

destination and to create the right canvas is important. we like to refer to them as galleries because it's artful expression of home furnishing settings. build the galleries that support it. >> a lot of the money being raised today is going to pay down debt, is it not? >> right. >> so how much in terms of the relying on growth capital, where is that going to come from if you need it if you are going to continue? >> so we have plenty of capacity. we come back to a couple of markets. we do have plenty of capacity and our growth plans are ambitious. >> finally an election on

tuesday. average income is over 200 or something like that. >> but it's a core estimate. >> if policies do change on taxes on capital gains or anything related to investment, does that alter the psyche of your consumer. >> possibly. by the way, we don't discriminate so we're supportive of whoever anybody wants to vote for and we're used to navigating in difficult economic times. we're more focused on what we're doing or what's happening in the economy. we have a lot of opportunities ahead of us. i don't think it's going to get worse than it was. >> let's hope not. >> thank you for your time, guys. fresh off ringing the opening bell here. >> thank you, thank you so much. >> with the election on tuesday, just four days from now, president obama and mitt romney getting ready to weigh in on the

jobs report. we'll bring you live coverage of each candidate's remarks. looking for a better place to put your cash? here's one you may not have thought of -- fidelity. now you don't have to go to a bank to get the things you want from a bank, like no-fee atms, all over the world. free checkwriting and mobile deposits. now depositing a check is as easy as taking a picture. free online bill payments. a highly acclaimed credit card with 2% cash back into your fidelity account. open a fidelity cash management account today and discover another reason

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september factory orders hit the wires up 4.8%, a couple tenths better than expectations. and the august number was a big minus, minus 5.2 now 5.1. sow factory orders joins data that is better than expected. carl, back to you. >> rick, thanks so much. to the road map the next hour, "squawk on the street" the last number shows an increase of 171,000 jobs. we'll talk to the former chairman of the council of economics advisers about what this could mean for the election. and then the world trade center site is getting flooded. how the site may have been impacted by the storm. and jan hatzius will be here with us and talk about the country's economic future. shares of trip adviser soaring after a huge third quarter but as the company felt any effects from sandy? we'll hear from the ceo in a

cnbc exclusive. more reaction to the jobs numbers and bring in our senior economics editor, steve liesman. steve, a quarter of a million jobs created this month, upgrade to the previous two. that's quite a big number. >> yeah, it's moving in the right direction, simon. and what we can say it's a stronger than expected report. it goes along with other strong data. you heard the factory orders. and what it tells us is the economy was on a modest upswing just before this catastrophic hurricane sandy hit the northeast and that's going to be affecting the data in coming months and weeks. nonfarm payroll up 171,000 and that's the number simon gave you. it gives you quarter of a million jobs. unemployment rate ticking up but essentially that was because people left the workforce or entered -- left jobs or entered the workforce so there was not a bad reason for the uptick. what was not encouraging, earnings being unchanged and hours being unchanged. you had this pretty good

diffusion. sometimes leads to to greater full-time employment. we've been waiting for the construction numbers to be positive. we've had positive home construction data but not employment. it shows up in the data. here is the story of the mortgage since 2000. 4.5 million above the trough in february of 2010. you can see there a slightly up -- a slightly sharper angle on the upswing than we had in 2001 but obviously taking us a long time to get back to the peek employment level and then, folks, write it down. here are a couple of ways to look at the obama job record for the republicans, democrats, and economists. let's look at the full screen we have. what you find is you've created or he's created under his presidency 580,000 jobs created

beginning in february '09 through october 2012. now democrats might take out the first three months something republicans are unlikely to do when there was a huge number of jobs lost before any of us took effect. plus 2.1 million. economistses in the last two numbers that minus 3.2 million shows what happened from the beginning of the obama presidency through the trough, minus 3.2 million and then from there plus 4.3 million jobs. so take it any way you like. you can create jobs, create enough jobs, not the enough jobs. that's for you guys to figure out. there's the baseline, though. a modest uptick in the economy before sandy but thursday when jobless claims we're likely to see the first effects of sandy show up in the data. carl? >> thank you so much, steve. what could this mean as we head into the election? he had lazear former chairman of the president's council of economic advisers, welcome back. always good to talk to you. >> nice to be with you. thanks for having me.

>> krueger says we are creating enough jobs to make up for new entrants. >> well, we are barely. soap i think alan is correct on that. the way i would think of it is this. i agree with steve, this mum is better than the numbers in the past but not a whole lot better. the average number of jobs created since the job market turned around is 140,000 a month. so now and over the past couple of months at about 170,000 so that's better. the key number is the one you just referred to, carl. you have to think about how much do you need to keep employment constant as a proportion of the population. and that number is 119,000 per month. so what this tells you even with these numbers, even at 170,000 a month, we're adding about 50,000 a month. that tells you that it would take actually 13 years to make up for the jobs lost in the current recession and still keep pace with population. another way to say that is that if you're thinking about this in terms of where we were at the

beginning of the president's term and where we are now, the employment population ratio has fallen by two percentage points since the beginning. so a lower proportion of americans are working today than were working when he took office. again, that's a result of people dropping out of the labor force and job creation has just been too slow to keep pace with the population growth. >> what does it say to you, ed, that the government was the only, i think -- i mean, if i'm still correct here, the only one to lose jobs. everything else added. >> yeah, right. that's right. and, again, as i said, i don't want to overplay this. i think what steve said is right, it's good we're adding jobs. are we adding jobs fast enough? the reality is this is an economy that continues to muddle along. and what i mean by muddle along, you see it in all the numbers. you see it in the growth rate, the jobs numbers. we've had 2% growth since the turnaround after june of 2009. this year 1.8%. we've had job growth that

basically is putting us at about 7% unemployment. if you're content with 171,000 jobs, that tells me that we're going to be settling for 7% unemployment. what we are looking like is the european economies of the past couple of decades. that's not a great situation. >> for the sake -- there is one sector that is mining down 9,000. what does this mean for the fed? in september it announced if it department get substantial movement on the employment picture it would certainly it continue to buy $40 billion of mortgage backed security each year. could y do you think they will double down on that particularly if obama wins the election at their next meeting? >> well, i don't know that they double down. i think what you are seeing, though, is a shift in fed sentiment. even one of the hawkish members has kind of changed his position and decided that the fed needs to be a bit more aggressive.

the big question is always not whether they want to do it but how effective is what they are doing? and, you know, my view has always been that you use the best tools that you can first and then when you're out of those tools, then you go to those things that are less effective. so i think they're in that regime right now. they may want to do more. it's just not clear there's a whole lot more they can do. >> earlier mr. lazear, you referred to the current recession. i don't believe you think we're still in a recession so i think you believe we're not coming out of it perhaps as quickly as otherwise. when you come out of a financial crisis led recession job growth typically takes a lot longer to get back to where you were than a typical recession. you don't believe that? >> well, that may be right but, again, i would make a couple of points there. first of all there's a lot of variation even in the data across country. it's not like all countries have

the same experience with financial recessions. the second thing is that most of the countries that do very poorly in financial recessions are those that have the intermediation function destroyed by the financial crisis. we did not have that happen. i think, you know, one of the good things that i think our administration can take credit for is we were able to keep the financial sector relatively intact and so we do have a relatively strong financial sector. the final point is that there are examples of very rapid recoveries after financial crises. the best one is the great depression. if you look at the period between 1929 and 1933 there was a huge drop in output. of course an enormous depression. the period right after that you had over 10% growth in the next three years so that was a pretty rapid bounceback after a financial crisis. the same thing happened, by the way, in 1937 if you look at 1939 to 1940. so those were financial recessions and you did see pretty rapid bounceback after them. so it's not clear that we can't

do it but, you know, ken rogoff is a very good economist and it is worth looking at. >> if the president wins on tuesday, is it a guarantee the next nonfarm payroll number is lower? >> you can never guarantee what will happen to those numbers. let's hope they get higher and they do need to grow at a more rapid rate to get us back on track. >> always good to get you on the air, e. thanks so much. ed lazear from palo alto. >> brian sullivan at headquarters. big news in the online travel site. >> reporter: everybody was calling for a disaster in europe, maybe from price line and trip adviser. that is not the case. both these names are soaring. expedia up and the price line earnings soared, up 27%. not nearly the amount in europe some had feared. trip adviser's earnings rose

9.3%. they had broad based revenue broet. maybe a little bright side. especially in europe. people probably thought no one would travel to europe again and every hotel would go out of business. maybe people are taking advantage to spend a little money. we have an exclusive with the trip adviser coming up later in the show. apple's ipad mini is met with much smaller lines than usual and not just in the northeast. the details up next. and hurricane sandy's wrath leaving much of lower manhattan in ruins and certainly in the dark as people are still trying to assess the damage done. up next we'll talk to the president and ceo of silverstein properties, the developer behind the world trade center site. try running four.ning a restaurant is hard, fortunately we've got ink.

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the world trade center property who joins us now. all the water is pumped out. give us a sense of what the scene looks like? >> the pump-out is moving quite quickly. millions of gallons are getting pumped back into the river from what it came. when you have an open pit, it's impossible to keep the water out. we're back in operation from a construction standpoint. you go out and you see the hoists going back and forth. personnel are in the building. construction activity is taking place and slowly but surely we're getting back to normal. >> has the water caused any damage or concerned that once you do pump the water out you'll see the damage it may have caused? >> the damage is from salt water on electric panels and electric circuitry so to the extent that needs to be replaced, we'll replace it. the equipment is there.

the capability of doing it is in place. i don't think it will be very long before we're back to a point where we were before. >> longer term, larry, two questions. is this going to impact the willingness of a business to lease space in your buildings, and insurance? are premiums going up? are you going to have problems getting certain properties insured? >> we've been through the insurance route before. >> yes. yes, you have. >> and so my suspicious is we're going to be able to work that through. with respect to prospective tenants, the flooding was not our issue. the power is the issue. a lot of 13th street, that massive substation, caused a loss of power to lower manhattan. so as soon as con edison gets that back online, we're going to be in much, much better shape. >> but we can't live like this forever. if this happens again -- >> one of the things we're going

to have to see happening longer term is that government is going to have to take some affirmative action with respect to the system that controls water flow, the system that has the levees and the floodgates. >> that's very expensive. the governor mentioned it a number of times recently saying two natural disasters in two years. his father, mario cuomo, never dealt with anything in 12 years. you are an optimist. are you still an optimist when the residents of lower manhattan have dealt with two major disasters not to mention 9/11. >> if they can accomplish security in amsterdam and l london, i don't know why we can't accomplish it in new york city, the greatest city in the world. >> are you saying that because of sea levels rising and more violent weather, you now need

public intervention to secure lower manhattan because it is too low? >> the truth of the matter is we witnessed and experienced 100-year flood. those don't come very frequently. how frequently that will begin in the future, nobody really knows. but the assumption is at some point in the next 100 years we'll experience it again. in order to provide for safety, we're going to need measures that have protected hundreds of millions of people in other parts of the world. we're going to need to hear it and the greatest city of the world there's no reason we shouldn't. >> to carl's point earlier, you have a portfolio property. are you concerned the desire to be in it lower manhattan whether you are just an average person looking for a home or a business, that desire is going to be diminished seeing what you can go through if you live downtown. >> you know, you can live in fear and you can be a realist. i think realism is terribly important no matter what we do. but my sense is that with time people who come to the realization if they have power they're going to be in much

better shape. >> is it in zone 8? the area that is evacuate d first? >> zone 8 is the scene of an evacuation. it probably will be again anytime there's a real threat. >> the last question, could con ed have done any more than they already have? i mean, nobody wants to throw arrows quite yet but -- >> candidly we're watching hundreds of thousands of people working around the clock. i know our 0 people have been working. con ed has been working. police, firemen, and the efforts have been heroic. but when you recognize the massive effects on quality of life and life safety, i mean, it's been a horrendous thing for people to go through. so i feel for them and i think we all have to get together to do whatever we can in this regard, but i think con edison is doing yyeoman's service,

everything they can to get back online. we'll dig deeper into today's jobs number in a moment, what it means for the u.s. economy and bring in jan hatzius. congress. in celebration of over 75 years of our government employees insurance company, or geico...as most of you know it. ...i propose savings for everyone! i'm talking hundreds here... and furthermore.. newcaster: breaking news. the gecko is demanding free pudding. and political parties that are actual parties! with cake! and presents! ah, that was good. too bad nobody could hear me. geico. fifteen minutes could save you fifteen percent or more on car insurance.

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monster beverage, we know there's been some controversy around this name. a new story out in "the new york times" adding to pressure on the stock. "the new york times" reporting that san francisco city attorney dennis herera sent monster beverage a letter saying you need to substantiate your claims that drinking large amounts of monster are indeed safe. he also asked them for evidence to back up their slogan can never get too much of a good thing. m monster has been under pressure. it's been linked to potential deaths of kids who have drank too much of the stuff. monster denies that obviously. still a new story in "the new york times" today about the san francisco city attorney adding

pressu pressure on mnst. >> it should be drink monster responsibly or something. >> reporter: i think it's like alcohol -- i don't want to give an opinion on this. the san francisco city attorney is saying, hey, you have a claim that you can drink as much as you want and it's safe, prove it. that's it. the euro hitting a three-week low. will the trend it continue with the election on tuesday? we get to our money in motion segment. camilla sutton joins us from deutsche bank. will the dollar strengthen or be weaker as a result of the election? >> reporter: well, you know, i think the euro is getting exciting. we've been stuck in the range for a long time now. we're testing the lower bounds. as soon as we break lower than that time, $127.95 down to $126 with stock at $129 we've been so focused on the u.s. side. better job data. better data overall as well as the election. both probably u.s. dollar positive. and i think what we should be

looking at is what has transpired in europe. things are beginning to brew again. we have political risk rising. greece could fall apart. we could enter a whole new election cycle in the next two weeks. >> just the levels there. >> reporter: absolutely. $1. $1.2795 short euro looking to fall back down to $1.26 with a stop at 1.29. >> okay. good to see you, camilla sutton joining us there and for more trade catch money in motion, currency trading tonight. yes, it is friday. at 5:30 eastern. and if you want more education about currency go to currency class. >> goldman's chief economist jan hatzius will join us. we'll get his take on the jobs number and what it means for the economy moving forward. and we're awaiting the president to speak on the jobs number at any moment. when that happens we will take you there live when he begins his remarks. for many, nexium helps relieve

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about an hour into trading. some of the stories we're talking about, 10:30 on wall street. factory orders up by 4.8%. demand for u.s. manufactured goods rose in september. the biggest gain since march of last year. starbucks one of the biggest

gainers on the s&p up about 10% after the coffee chain raises its dividends by 24%, delivers some solid same store sales growth in the u.s. and super value shaws will reduce. they're in talks with several parties who are interested in buying some or all of the company. >> back to the story of the day. october jobs number coming in. 171,000 jobs added. the unemployment rate still below 8%. 7.9%. jan hatzius, chief economist at goldman sachs, says this number change anything in terms of your view of the economy? >> i don't think it changes anything substantially. it's the establishment that were better than expected. it's encouraging news. in particular i would say the household employment gain was quite surprising because you had a very big gain last time. you have another big gain this

time. it's still noisy but it means more if you see two gains in a row. >> in terms of what the fed may or may not do does that alter? >> i don't think so. i think they will be very patient. they want to be stronger economic growth for many months before it will change anything. you look at the speech last night, graham said we're still on track for buying out. of course he is on the side for more easing but that is representative of the majority. >> jan, we talked about the divide between consumer sentiment and business sentiment, right, and every data point seems to reinforce that view. businesses know something that the consumer either doesn't know or isn't paying attention to. so does this number today he reinforce that and is it possible that consumers start buying enough things confident enough in employment that we get a positive feedback? >> i think it makes sense that

probably is happening. at the same time businesses do tend to be a bit more forward look i looking on these particular issues. on the fiscal issues facing the country in early 2013 if you get spending and increases in taxes i do think business sentiment is a bit more sensitive to that. so i would put it on both of those. >> does one have to catch up to the other? >> i think eventually i would expect them to converge, but i would expect them to converge on a moderate growth rate 2% overall. it hasn't really changed in light of the various surprises that we always get and we've been getting on both sides of the sector and over the last few weeks. >> there's a big difference, isn't there, between the way in which financial markets react to the report and perhaps how the rest of the economy should react. on the one hand the expectations game, is it above or below expectations with no real value judgment as to whether it is good or bad.

it's less than expected. if you take in this month and last month, you generated a quarter of a billion jobs. >> right. >> that is 1.1% of the total unemployed and under employed. a figure of 1.1% good? is it significant or is it actually negligible? i don't know the answer to that question. >> i think you're right that the financial markets looked much more change and change at the margins whereas the consumer and the broader -- the wider world is more attention to the level and i think that's sort of what you think. beyond what you're saying which is true, the establishment survey hasn't been stellar. it's been pretty good and a little better than expected but beyond what you are saying, the household service maybe deserves a little more weight now than last month. >> to make it simple for people at home, if that is possible and it may not be possible, if

somebody is unemployed or wants to know if the economy is on recovery or not, what do you say to them? is this a recovery? >> i think it's a recovery but it's a sluggish recovery and especially given the starting point of very, very high unemployment, much higher unemployment than at the end of most recessions. you would certainly hope for much stronger growth and probably expect stronger growth even relative to the slightly better numbers that we're currently seeing. >> the word uncertainty, well, if we hear it again, will be 1,000 times too many. the last four years it has been by far the words to rely on. i know you've done some work, though, that says policy uncertainty perhaps not really the cause necessarily of this great uncertainty that we hear so much about to prevent business from making key decisions to spend more capital than we otherwise would. >> that's right. i think the uncertainty that we've seen and there clearly has been an elevated level of uncertainty to a large extent is

the consequence of going through that crisis. it's part and parcel of going through that crisis so you have a massive negative demand when the bubble bursts in 2008. policymakers respond to that in very, very unusual sets both on the fiscal side and on the monetary side. and so you are very, very far away from long-term norms on monetary and it fiscal policy and so, of course, there's going to be uncertainty about how -- >> how long does it take to resolve if you can go back and look at similar periods? >> i think normally it takes a number of years. we look at, say, the bursting of apple's bubbles across the country, done a lot of work. a lot of other people have lucked out and it's a deep recession and then lower recovery than normal and i think that's what we're looking at but

there aren't that many instances that you can look at in the u.s. h history. and so that adds to the uncertainty, too, because it's harder to come up with the template. >> jan, sandy has forced us all in a room that's under generator power right now. economists say it will take away g it dp by half a point. what's the answer? >> i'd say it might have a small negative effect on gdp. it's going to have a big negative effect on some of the monthly numbers for october and perhaps november as well depending on what happens. but i think for the quarterly gdp numbers you are going to see it hit at the start of the quarter and then a recovery later in the quarter and eventually get some rebuilding activity as well so i don't think it will be a very big effect. having said that, the most important effect of sandy, of course, are the fatalities that have disrupted people's lives,

the destruction of property. none of those show up in the gdp. it's a very partial view of the impact. >> jan, good to see you. thank you for coming by. jan hatzius of goldman sachs. the ipad mini is on sale in apple stores. it has had much less fanfare than previous product launches around the united states and the rest of world. there were a couple hundred people in line at the fifth avenue apple store in new york city early this morning. most of them, it would appear, were not actually native new yorkers. >> i think we are one or two hours away. >> we've been stuck here, flight was canceled, so flying back tomorrow. >> many northeast natives are still without power, of course, and the lines at the apple stores this morning have been nothing like the lines at gas stations and bus lines that we've seen around the northeast. people have been waiting in line

for hours to fill up their tanks. this is a really unfair juxtaposition. i bought my ipad mini online a few weeks ago. it's in the mail. i can't buy the gas for my car through the mail. >> they haven't figured that one 0 out yet. >> i think the juxtaposition is people are still willing to go out and spend on the new device even as such destruction and hardship is unfolding around us. simply the juxtaposition when you take a look at the store which is in new york city, is at the heart of it all. >> there are already a lot of small tablets around. it's not like this is the first small tablet ever, is it? it's not a product innovation like the iphone, in fairness to apple l. >> true. take a look at the stock. today's session is down by about 0.9%. it is now testing its 200-day moving average. it is now officially down 20% from its all-time high, hit in early october. so quite a move there in apple and, of course, the concern here

is that perhaps when it breaks the 200-day moving average it is losing its momentum and that is certainly what we have seen as the nasdaq last month posted its worst decline led by declines in shares of apple. >> maybe when the queus decline. >> beating third quarter expectations, what the ceo has to say about the economy and how it has been affected by sandy after the break. with thinkorswim by td ameritrade. use the news links breaking stories with possible breakout stocks, options with potential opportunity, futures and forex with in-depth analysis. it's an all-you-can-eat buffet for all things trading. thinkorswim by td ameritrade. it doesn't just deliver news. it's making news. trade commission free for 60 days, plus get up to $600 when you open an account.

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this woman here is about to introduce president obama as we await his reaction to the jobs number in hilliard, ohio. as soon as he is brought to the podium, we'll bring you there live. trip adviser rocketing back botch the $30 level at which they debuted last december. the co-found er stopped by to

talk exclusively to us on "squawk on the street." >> i think it's a testament to the momentum that we're on now, so it's been less than a year since we've been a public company and we've shown growth in literally all of the interesting metrics whether it's traffic or membership or social contribution and certainly revenue leads to our clients. >> you became a public company, spun out of ex pepedia. why do you think you have done so well when others have not? >> we built a real moat around competition that says if you really want to find out what a hotel is like or a restaurant or an attraction come to trip adviser. the sheer scale makes it so interesting for consumers because it gives the broadest what should i do, where should i stay? and that's what makes people want to come back and contribute

to the fly wheel effect, the network effect, that's so powerful which is why we're growing our content so much faster than anyone else. >> are you disappointed at your ability? you said with the earnings faster than mobile or does it matter? can you be more relaxed about it? >> we can be more relaxed about it because our revenue continues to grow at a wonderful pace. we view mobile as a fan ttastic opportunity for in market when they're in the destination to provide functionality. that was never provided for us and now we have additional touch points with our traveler by offering, hey, where do you want to eat when you're in market? what do you want to do? you can take all these things that we now have available on mobile. >> it's been a hell of a week on people in new york. have you noticed the number of bad reviews writing

substantially as some of the hotels price gouge and that sort of thing? >> we haven't seen that yet. so far the anecdotal reports are that people are actually behaving nicely. folks aren't quite as excited about taking planes or a trip right now as they're battling on their home front, if you will. >> that was the ceo and co-founder of trip adviser talking to us earlier. it has been a point of debate all across new york city right now. the new york city marathon. it will go on as planned this weekend but the question is, should it? we'll have more on that next. but first, rick san it telly, what are you working on for the next hour of "squawk on the street"? >> reporter: well, what is everybody talking about today? the data, specifically the labor report. that's what we're going to talk about. the markets had some interesting knee-jerk moves after the data was released. we'll discuss that and we're going to add up 45 months worth of establishment nonfarm job

creation and we're going to see how this term 45 months into the current administration stacks up on the jobs scene all at the top of the hour. or that printing in color had to cost a fortune. nobody said an all-in-one had to be bulky. or that you had to print from your desk. at least, nobody said it to us. introducing the business smart inkjet all-in-one series from brother. easy to use, it's the ultimate combination

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>> reporter: welcome back, i'm brian sullivan. shutter fly down about 6%. despite the fact that its loss was narrower than some expected and it raised guidance, that is not helping. shares down about 6%, perhaps the market which bid the stock up yesterday, by the way, was just doing it as a short term trade or even better than expected numbers not better than expected enough, sfly is down 6%. thank you, brian. we were up going into the premarket on the jobs number much better than expected as the president is speaking. as soon as he starts talking about the jobs number, i think we'll take you there live to ohio. we lost some steam. things this week have gone contrary to expectation whether it's the data, the action yesterday, the action today on the most juror indices. >> it's not a help that apple shares are down about 0.8% right now.

technology had a very big day on yesterday's rally and that is reversing as ibm down by a percent here. a bit of an unravel. yesterday being the first of the month and for some funds the first of the year of the new year. >> but you did get i think that pent up buying that came through on strong volume. >> it did. >> on those first two days. now you have your event risk with the election. >> the president is addressing hurricane sandy. let's take you to ohio. >> we mourn those who were lost. you can only imagine what so many families are going through right now, and the message i have said every time i talk to people back east is we stand with the people of new york and new jersey and connecticut, every step of the way. every step of the way in the hard weeks ahead, and there's a lot of work that still remains to be done, but we've also been inspired these last few days by heroes who are running into

buildings and wading through waters and the neighbors helping neighbors cope with tragedy. the leaders of different parties working together to fix what's brok broken. ap spirit th a spirit that says no matter how bad the storm is, no matter how tough times are, we're all in this together. we rise or fall as one nation and as one people, and, you know, that spirit is what has guided this country for more than two centuries, that idea that we're in this together. it's carried us through the trials and tribulations of the last 200-something years but also the last 4 years. in 2008 we were in the middle of two wars and the worst economic crisis since the great depression and today our businesses have created nearly 5.5 million new jobs, and this morning we learned that companies hired more workers in

october than at any time in the last eight months. [ cheers and applause ] the auto -- the american auto industry is back on top. home values and housing construction is on the rise. we're less dependent on foreign oil than any time in 20 years. because the service and sacrifice of our brave men and women in uniform, the war in iraq is over, the war in afghanistan is ending, al qaeda has been decimated, osama bin laden is dead. we have made real progress. [ cheers and applause ] >> good job, man! >> this guy had a lot of coffee this morning. you're fired up.

okay. so listen, hold on a second, we've made real progress, but we are here today because we know we've got more work to do. as long as there's a single american who wants a job and can't find one, as long as there are families working harder but falling behind, as long as there's a child anywhere in this country who's languishing in poverty and barred from opportunity, our fight goes on. we've got more work to do. our fight goes on because this nation can't succeed without a growing, thriving middle class. our fight goes on because america has always done best when everybody has a fair shot and everybody is playing by the same rules. that's what we believe, that's

why you elected me in 2008, and that's i'm running for a second term as president of the united states of america. [ cheers and applause ] >> four more years! f four more years! four more years! >> that is the president speaking in ohio, talking not just about the job number but the recovery efforts post-sandy. we want to get to john harwood with reaction to what the president said. as we begin to see both candidates, we'll hear from governor romney in a little bit, what they're calling their closing arguments in the last few days of the campaign. >> reporter: that's right, and president obama is making his closing argument wrapping it around the recovery efforts for sandy, the bipartisan cooperation that he demonstrated with chris christie, trying to make the point that this is when america is at its best. now he's got a better than expected jobs report and he can

say america's coming back, home values are rising. we had the most private sector hiring in eight months. all those are elements of the president's argument. of course, mitt romney's argument is going to be is this the best we can do? we can do better. he has already been saying that earlier today, saying the president says this is the best it can be. i say it can't stay this way. there you have the two arguments framed as we go to a final weekend with the polls nationally showing a dead heat and in the swing states a slide advantage for president obama. >> obviously it's all happening, the theater of it is happening in the crucial states. the governor is in wisconsin today. as we can see, the president in ohio. you look at the top of drudge, john, and it's all about the complications of the recovery, the gas lines, the frustration. how much vulnerability does that leave the president even though he may appear to be acting presidential? >> reporter: i don't think very much at all. if any at all. because, first of all, the complications are occurring in

states that the president is going to win easily. that's new jersey, new york, connecticut, for example, and, secondly, i don't think anybody is blaming the president for any of those complications. certainly chris christie, the keynote speaker at the republican convention this year, is not blaming the president. to the contrary, he's praising the president's leadership. that's an asset for president obama. i don't know how big of an asset. i wouldn't expect it to change a lot of votes but the president is certainly not being hurt by this. >> john, appreciate that. we'll come back to you a lot over the next i think 100 or so hours before the polls close on election night. quick check on the markets, number was good but the markets do not like it. dow down 42, gold having its worst day in four months, down almost 2%. we're back after the break. ...you see they all have something very interesting in common. they have teachers... ...with a deeper knowledge of their subjects.

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we're not quite done with the week, but we got through a lot. >> we did. what a week it was. >> the country and the markets continue to work their way through the long weekend and a tough week next week. here is what you may have missed if you're just tuning in. ja welcome to hour three of "squawk on the street." here is what's happening so far. >> what's happening is that the

demand side is descending into chaos and you see it in the gas lines. this could get to gunfire if it continues in the way it's going now. >> october nonfarm payrolls increase by 171,000 jobs, the unemployment rate 7.9%. >> we have a jobs gap of more than 8 million from what the president promised in his first forecast from where we are now. that's not a great record. >> of it does seem that businesses have still been reluctant to really make s significant additional investments beyond what's necessary to run their businesses. the economy has seen more focus on a consumer rebound than a business rebound. one wonders when and if business were to get in the game those numbers would even be better. >> the unemployment rate is down a full percentage point in the last year. so we're moving in the right direction and what we need to do is build on this progress and that's been the president's goal all along. >> we're more focused on what

we're doing rather than what is happening in the economy. we've got a lot of opportunities ahead of us, so i don't think it's going to get worse than it was. >> the gain was quite surprising because he had a gain last time, another big gain this time. it starts to mean a little more to see two such big gains in a row. >> good friday morning. we're live at the new york stock exchange. a good jobs number, 171,000, of course, well above even of the highest of expectations but the market has slowly lost its gains and is sliding further into the red. the dow at close to lows of the sessions, down 50 points. s&p down almost 3, nasdaq down almost 3. restoration hardware headaching i -- making its debut. a nice 30% gain.

restoration hardware's ceo joined us first on cnbc discussing how the company will fund its ambitious expansion plans. >> we do have plenty of capacity. our growth plans are ambitious but completely doable. >> trip adviser's ceo joined us exclusively saying while mobile may not add directly to revenue, it does enrich the ewer experience which feeds back into the overall business model. we continue to watch hurricane sandy though and the recovery efforts. staten island, one of the worst hit by hurricane sandy. the island still dealing with flooding, power outages and shortages of food and water. nbc's richard lui is live on staten island with more on that. richard, good morning. >> reporter: good morning to you, carl. some of the residents here saying it's the forgotten borough and we're standing on mansion street right by long

series of marinas here ande he s ter was just in her home trying to get out some of other valuables but she saw several yachts sitting right in front of her yard, in front of her driveway. some of the concerns are once you get into the homes is the diesel because out there they had diesel tanks that are now in here. i'm going to show you this over here to my right. this is mansion street. these two yachts, including the bella vita, if you can see that, blocking off the street. it only goes down for at least a mile. you can't even tell where the maria was and where land starts and ends. it's that strange. this 40-foot yacht right here, the keel, i don't know if you can see this, but it got pushed across and it rakes across the very pavement here. the winds and the water from hurricane sandy just pushing it across and then down here you see some elements of recovery. this crane came in about three hours ago. they've since swung about two or three of the boats back into the

proper places. that's what we're seeing down here in this corner of staten island. the one good thing you can tell, there's sun here, and for those who don't have electricity, that's warmth, and they're spending a lot of money on gasoline for their generatjegeo right now. >> the temperatures are dropping quickly over the next few days. it's increasingly being seen as the face of the storm and the devastation. appreciate you bringing those pictures to us. richard lui. it brings us straight to the new york city marathon that starts in staten island. it will go on as planned this sunday despite the power outages. did the mayor make the right decision in moving forward with the race? brian shactman is live with more on that. >> reporter: why run a race while nearby so many people are suffering? and it's created quite a controversy. all you have to do is look at the cover of "the new york post." abuse of power is the headline

and they show two huge generators that are powering the new york city marathon in the central park and there's one generator that is just as large al zarqa that's idle. a lot of people just think it's inappropriate, but they're running the race anyway. we've seen thousands of runners go by us this morning. almost all of them prepping for the race. almost all of them not speaking english, but they all want to run, and they actually think the race is a testament to both the american and the new york spirit. >> the american spirit, especially before the 9/11, show us always that you can step back again. >> i think it's also sending a sign that life doesn't -- must not come to a standstill just because of a natural disaster. >> make the people of america proud to respond fast. so i really don't know if it's the right answer, but i think

it's nice to see that you guys are trying to put on the marathon even with the hurricane. >> reporter: it's a complicated story, carl, because we're getting anecdotes from hotels. some of them are bouncing those new yorkers stranded by the storm to make room for runners, but there are also some hotels who will not make them leave and so now runners are having trouble finding space as well. so it's quite a situation here, and obviously they're moving forward with it, and we have seen, i'm telling you, thousands of runners from other countries, and they're having a great time and there are some ironies there, but you see the marathon many times. it is a great civic event. you cheer on people you do not know but the appropriateness is just one a lot of people have trouble with right now. >> it's not like they're looking to cancel it, brian. just push it back a few weeks. but it is topic "a" in much of manhattan and the surrounding boroughs. thank you so much brian shactman bringing us that story. capital markets up.

i see you shaking your head. >> i have to gather myself. i feel like i want to throw up. you know what's happening three miles from here. we'll get to that later in the show because this is also very important story that i've been wanting to bring to the viewers for several days now because there are many businesses all over this area, all in the northeast, that are going to need to borrow money and need to try to rebuilding and need access to capital. there's just some important information i want to thank tom mcclellan for pointing this out to me several weeks ago. you should know while it may be very difficult for you to borrow money, it's not difficult for the campaigns to borrow money. let's take a look at this. obama for america borrowed on september 4th, $15 million and this has been reported in the press previously from bank of america. the rate on here is what's the most interesting. they borrowed $15 million at libor plus 2.5%. those were the terms of the loan. overnight libor rate about 0.21%. borrowing money from bank at america below prime. we did ask bank of america about

this. i wanted to know can i go out and raise money? the collateral on this was cash on hand. is this the type of money people are going to need cash to get right now? this is why it's so important. the obama administration said the following, obama for america -- let's go to the bank of america statement first. bank of america, we don't discuss client details but this loan has been disclosed as required by federal election commission rules and it is a standard commercial loan at a market competitive rate. that's what they say. i cannot prove that, carl, that it is market competitive rates. obama for america issued the following statement in regards to this loan. the loan was reported in mid-october in our fec chris closure and was covered by the press. it is a line of credit established by the campaign to ensure cash flow flexibility. we have not drawn on it. now, in addition to the obama campaign, mitt romney borrowed some money. he didn't go to the bank of america. went to the bank of georgetown, and he took out a loan of $20 million, the rate even more

attractive, 0.045%. that was a loan taken out august 22nd, payable in 2013. there are some differences here because, again, bank of america, a public bank showned by the shareholders, did receive a bailout. a lot of people wonder whether they should be making these type of loans. i will leave that to others to judge, but we did also reach out to the romney campaign to ask them about their being able to get this money at an unbelievably attractive rate. they referred to us an article in "the national review" which says the following. in the past the fec has specifically contemplated candidates putting up their public financing payments as collateral. we took advantage of this and we decided to secure this line of credit. we were able to stay competitive in a period when we were looking a the a tilted playing field. what is the bottom line here? the bottom line is simple, this will all be over on tuesday, wednesday. the fact of the matter is we're going to have millions of people that are going to need access to credit. let's hope that the banks make

the credit attractive to all the businesses who are going to need it as they've done to these two political campaigns. i know a lot of people have a lot of strong opinions here and i thought it was very important we get it out before tuesday. >> who knows what the campaign's balance sheets look like but we know they're beholden to donations. their asset base probably -- could it be that strong? i wonder what the standards were like. >> let's put it this way, i tried to find if i put up the same sort of collateral, could i get the same terms? below prime to borrow money or in the case of romney, significantly below prime and the answer was i couldn't come on air and conclusively tell you these terms are available to you or i and most importantly the businesses right around here that are so desperately going to need capital. something i felt was very important. y y you. >> put the op in op-ed. get to the cme group.

rick santelli with a look at the jobs data. i know you're doing some math as well. >> yes. let's start out with just the data. what i find fascinating is we know markets get a bit twisty, curvy, a bit weird lately with all the different cross winds but today at 8:30 eastern when the better data hit, what did we see? we saw interest rates go up. preopening stock market go up in the futures and we saw the dollar index go up. granted, it's a friday, weekend, election. once that 50 minutes past, the markets got to their own specific work. the only market that seems to be holding on to what was a very logical response in the market, dollar index, but a lot of things happened this morning. you know what they say about messen injuries. this morning when i held up this sign on "squawk box" i was that messenger. what does minus 61,000 mean and

why was everybody on the panel so unhappy when i held up that sign? a little bit has to do with the excel spreadsheets, you can't read that but you see the yellow highlights. that's 45 months of nonfarm establishment job change on a monthly basis, dos website. now, let's go to the board. if we look, we asked january of '09 because the president wasn't sworn in. i'll tell you what, whether you walk about clinton jobs created, reagan jobs created, the stock market for jobs you always look at the four years in office of the president at the time. now, this president is going to get kudos, at least on net change, for the equity markets. you can say it was the fed. it doesn't matter, what goes into the books. here is what goes into the books. this is right off the website starting in february '09. i went down, down, down. here is the most recent three numbers. you can see 171,000 today. 148, well, that was revised up

34. previous month, august was up 50 on its revision. if you didn't include these revisions that was my minus 61,000. if you added everything up with the old numbers minus 61. but with the revisions of course we added 84. so that means before the data was released and we were up 23. if you add 171, we're up 194,000. so in the record books for the 45 months since this administration has been in office, that's the net job kreths from the establishment survey on the bos' own website. if you don't like the establishment survey, look at the household survey. i have not been an on exchange floor for 1979 for an employment report and for fed immediate meetings, and i have always looked at the establishment survey. >> i can't argue with the numbers. that video has gone viral. the ipad mini hitting stores

but drawing less fanfare than other apple gadgets. hear what people are saying about the mini when we come right back. i invest in what i k. i invest in what i k. i turned 65 last week. i'm getting married. planning a life. there are risks, sure. but, there's no reward without it. i want to be prepared for the long haul. i see a world bursting with opportunities. india, china, brazil, ishares, small-caps, large-caps, ishares. industrials. low cost. every dollar counts. ishares. income. dividends. bonds. i like bonds. ishares. commodities. diversification. choices. my own ideas. ishares. i want to use the same stuff the big guys use. ishares. 9 out of 10 large, professional investors choose ishares for their etfs. introducing the ishares core, etfs for the heart of your portfolio. tax efficient and low cost building blocks to help you keep more of what you earn. call your advisor. visit ishares.com. ishares. yeah, ishares. ishares by blackrock. call 1-800-ishares for a prospectus which includes investment objectives,

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welcome back. we'll start with the ipad mini hitting shelves today. john ford is live outside the apple store in palo alto with a look at what's going on there. morning, john. >> reporter: good morning, carl. by now it's a familiar sight. you can take a look at this video. this is a few minutes ago when

people began streaming into this new store a couple blocks from the older store in palo alto. there were 50 to 75 people in line. that counts as mini line for the ipad mini, at least by apple iphone launch standards. and maybe some of the major ipad launches as well. so taking a look at what this means, piper jaffray analyst gene munster said he expected apple to do between 1 million and 1.5 million ipad mini units in launch weekend including preorders. from his look of things the lines thus far this morning across the country support that thesis of his. i did see online that apparently the fifth avenue store in new york, which is still open, had over 500 people in line. apple unveiled the mini just last week, early last week, so it seems longer ago than that with everything certainly new york has been through, and we're really waiting to see what this holiday season holds for the

mini overall. reviews have been generally strong but it's up against some tough competition from the kindle fire hd from amazon at $199, also google's nexus 7, barnes & noble's nook hd. all with higher resolution but smaller screens. the test is on to see which way consumers sway with this one. more apple employees in there than customers when the doors opened, but people are continuing to line up and this is getting a lot of attention on the streets of palo alto. >> it's funny to see people celebrating as they come out with one of these things. to what degree do we know anything about supply constraints, which was obviously a huge subtext of the iphone 5 story. >> reporter: we don't know about supply constraints for the ipad mini specifically. some analysts are trying to get that information. on the iphone 5 though apple said on the earnings call they're doing a better job getting supply out, and i saw an

analyst note just this morning saying that it did seem that supply is improving pa bit though supply is still constrained. consumer surveys showing that more people intend to get the iphone 5 by the end of the year now than had that intention when the iphone 5 launched. so some signs that demand at least is holding up. apple says supply is getting better. >> john, thanks a lot. busy day for you. markets still lower, dow down 53. s&p down 3 1/3. we'll get more analysis from the pits right after this break. large metal object hitting theof ground) things have been a little strange. (sfx: sound of piano smashing) roadrunner: meep meep. meep meep? (sfx: loud thud sound)

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get back to rick santelli in chicago talking some jobs with james bianiko. rick? >> absolutely. of course, we like james biannco.

he makes economics a little more simple for the rest of us. welcome. what is your impression of the report this morning? >> the payroll number was a little better than expected. the private survey was a little better than expected at 184,000 jobs. i'd grade it a c plus. the reason is i heard mr. liesman this morning say, look, 300,000 to 350,000 a good job number. 184,000 is better than what we've seen. it's not a good job number. it's nothing that's blowing the doors off suggesting this economy is back. >> listen, as an economist, i saw the household survey, that monster number last month. it wasn't revised at all. i never look at the household survey. i look at the unemployment rate. is that unusual that the jobs component isn't revised? >> it will be, maybe not in the prior month. >> unlike the establishment survey we will be more prone to do benchmark revisions en masse versus on a monthly change. i think people would like to know that. >> that's correct, that's correct. the hustle survey is where we

get the unemployment rate. that's subject to revisions down the road. maybe not immediately in the next month, and we might see revisions and your guess is as good as mine as to which way they will change the unemployment rate. >> being a market guy, i found it fascinating the markets responded like the old days. when that number hit, stocks went up, dollar went up, interest rates went up. now interest rates are lower than they were. stock market didn't hold on to its gains. only the dollar index is still holding on. why do you think that is? >> tuesday we're doing two things, electing a president and we're choosing a monetary policy because whoever the president is going to have big implications for federal reserve policy for the next four years. so the market i have always thought has been looking at the unemployment rate, the economy, and the election and saying are we going to continue to have quantitative easing in 2014 and 2015 and i think it's that uncertainty.

this wasn't a slam dunk for the president. he is leading in the polls. romney is still in the equation. i think that nervousness has the market going. if romney wins i think john taylor as federal reserve chairman, think of an end of quantitative easing. first he has to win so we'll have to see what happens on tuesday. >> i believe ben bernanke's term ends january of '14. >> yes. >> so let's talk about those 13, 14 months after the election. let's say that ben bernanke decides he wanted to do five times the amount of quantitative easing. i really doubt if they're going to get the hook out like in the old movies and pull him off the stage. what happens with the relationship with the head of the federal reserve if they don't like his policy but he continues to do it bigger? >> the last time a federal reserve governor dissented with the chairman was about 25 years ago. it was wayne angel. usually the governors will go with whatever the chairman wants. so if we get a new chairman, they're going to -- >> we have to go with breaking news, jim. sorry.

thanks for being here. what's the breaking news? >> wayne angel, man, that takes me back. a few moments ago the homeland security secretary issuing a waiver of the jones act which means additional oil tankers will have access to ports in the northeast. it's a big deal, crude is moving. our sharon epperson has reaction. sharon? >> it's all traders are buzzing about. it's a huge story for the energy markets. we've seen an immediate reaction. oil prices falling here by about $2. $85.19 was the low of the session. big drops, 2% or so, in gasoline and in heating oil as well. this certainly alleviates the bottle neck issue that is have been happening around the new york, new jersey area and this is something that is very rare for this to occur, but this situation is as dire as it is and the need for supplies in the northeast is as dire as it is. the reaction immediate in the energy markets. we've even seen crude prices down about $1 or so. but the biggest reaction definitely in the products market and we're seeing those

prices coming down sharply. what does that mean for all those people at those long gas lines? it means that when you're going to get your gas, it's going to be coming down. that is much needed relief for a lot of people that are still reeling from sandy. back to you. >> all right. thank you so much, sharon. of course, crude down almost $2 here, gary. the bottom line is it allows tankers to deliver oil to the northeast that would not ordinarily be allowed. >> and a very, very important story as sharon pointed out. i had gotten word last night from a major distributor of foreign crude here in the northeast and he essentially said his terminals as far up in albany were empty. the fact is -- >> empty of crude, waiting to be refined. >> waiting to come in and then basically have the refined product available and so you break any bottle neck, it's a very positive thing. yes, obviously the commodity price goes down, supply/demand working perfectly. more supply very, very important. >> it doesn't answer the second part of that step, which is to

get the refined product to the gas station. >> but you have to start somewhere. there's a lot of rumors out there. we can't aform any of them yet, we will if we can, but you have to start somewhere, and this is at least something to start with the supply issue. >> yeah. by the way, we should mention the governor, governor romney, has started speaking in wisconsin. as soon as he starts addressing either sandy or the jobs number, we'll take you straight to west alice. in the meantime, i think he's saying his welcome and his hellos. the market is down after a jobs number that even critics had a hard time finding real problems with saying it was okay. yf the weakness? >> i think it's the same thing i said to you two days ago. you're not going to see any major position portfolio managers doing anything until wednesday. same pattern we have seen the last two days. buy orders on the open and then they fade. everyone has left, everyone has gone home.

if you're in new york city, you've gone home. orders are off the desk. >> let's bring you to mitt romney speaking on sandy in west allis, wisconsin. >> i want to thank you for all that you have done and all you're going to do in the next four days and i want to tell you how much i appreciate being in the home of the next vice president of the united states. [ cheers and applause ] you know, next to ann romney, paul ryan is the best choice i have ever made, i got to tell you. now, we're just entering the final weekend of the campaign, and as you know at the obama rallies they're shouting four

more years, four more years, and i just heard you, we're shouting four more days, and we're so very grateful to you and people across the country for all you've done to give yourselves to this campaign. this is not just about paul and me, this is about america, about the future we're going to leave to our children. we thank you, and we ask you to stay all the way to the if ininitial line because we're going to win on tuesday night. [ cheers and applause ] you know, the closing hours of a campaign have a dynamic all their own. a lot of voters have known for some time who they were going to vote for. but there are others that are just now putting aside the

demands of their daily life and considering how their vote will affect their own life, the life of their children, and, of course, the course of the country that we love. and we ask them and you to look beyond the speeches and the attacks and the ads. look to the record, to the accomplishments and the failures and the judgments. words are cheap. a record is real and it's earned with real effort. [ cheers and applause ] real change is not measured in words. real change is measured in achievements, and four years ago candidate obama promised to do so very much, but he's fallen so very short. he promised to be a post partisan president, but he

became the most partisan, blaming, attacking, dividing. he said he was going to focus on creating jobs. instead, he focused on obama care which killed jobs. he said he was going to cut the federal deficit in half, and then he doubled it. he said he was going to lower the unemployment rate down to 5.2% right now. today we learn that it's actually 7.9%, and that's 9 million jobs short of what he promised. unemployment is higher today than when barack obama took office. think of that. unemployment today is higher than on the day barack obama took office. he promised that he would propose a plan to save social security and medicare from insolvency. he didn't. rather, he raided $716 billion from medicare to pay for his vaunted obama care. he said he was going to lower health insurance premiums for the average family. by $2,500 a year by now.

and actually by now they are now $3,000 higher for an average family, and gasoline. the american family now pays $2,000 a year more for gasoline than when he was elected. of course, he also said he was going to work across the aisle on the most important issues. listen to this, he has not met on the economy or on the budget or on jobs with either of the republican leader of the house or the senate since july. instead of bridging the divide, he's made it wider. now, how is it that he's fallen so short of what he promised? in part it's because he never led before. he'd never worked across the aisle before. he never truly understood how jobs are created in the economy. and, of course, today he's now making new promises. promises he will be unable to keep because he admits that he'll stay on the same path he's been on and the same course we

have been on will not lead to a better destination. [ cheers and applause ] and you know this. the same path we're on means $20 trillion in debt. >> governor romney speaking in west allis, wisconsin. john harwood listening in as well. john, you can almost sense the heightened sensitivity and energy from the crowd surrounding both candidates today. >> reporter: you see it at the end of every campaign, carl. partisan crowds are incredibly energized and fired up, and mitt romney was surfing that wave in west alli siss. >> wisconsdemocrats see wiscons part of a checkmate strategy of preventing romney from winning. they realize that if they carry

ohio, wisconsin, nevada, that mitt romney cannot get to 270 electoral votes without taking a very, very unlikely state away. so this is a very important place, just as ohio is important to president obama, and the closing argument that mitt romney is making is the one that has been his go-to for the entire year, which is look at the record, look at what barack obama said he was going to do, look at what he's done while the president is trying to make a recovery case, we're on the right track, the mitt romney argument is we haven't gotten where we need to go and he's going to be making that all weekend. >> people on the floor trying to look at the effect of the storm and the recovery on tuesday. is it possible that because in the northeast states that are normally blue, have lower turnout, the president actually does win on the electoral vote but the governor wins on the popular vote? >> reporter: that is possible. it's very -- you have to say it's very unlikely by looking at history at how few times that's happened. but we have an extremely close

popular vote race to judge by the national polls. usually the distribution of votes in the united states is such that if you win the electoral votes, you're going to win by some margin, even if narrowly, the popular vote as well, but we've seen a lot of strange things happen in the weather. we've seen a lot of strange things happen in politics lately. it could happen again this time. >> john, thanks so much for your help on both the appearances from both the governor and the president today. john harwood in washington. the search for gasoline still one of the biggest issues in the northeast after sandy. look at these lines. they are long, in some cases more than a mile. supply is low. demand is high. that could change after the secretary, secretary napolitano, now allowing more oil tankers into the harbors around here. we'll go live to a gas station in new jersey to get a check on the situation there next. [ male announcer ] eligible for medicare?

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lines at gas stations in many parts of the tristate area remain long. tom, people are going to start wondering if the situation is getting any better today. >> reporter: i think the short answer is yes, but it's going to take some time. behind me -- the word is out that the lines are moving pretty quickly here. this is, as you probably know if you live in this area, it is north of the lincoln tunnel, south of the jersey turnpike. here is where the line wraps up to. you can see the police are here to keep order because there have

been some sporadic cases around the area of people getting rather uptithe, especially when somebody cuts in line. god forbid that in new york, right? but the entire service center and back up onto the new jersey turnpike. some aerials taken from a very similar scene here in new jersey and it just shows you these lines can extend one, two, three, four miles or so. you guys have already been talking about the jones act. that's a very big deal that will hopefully move some fuel into the northeast a little quicker. i can also tell you we've been hearing that many third party terminals in new york and jersey remain out of power and some are reporting significant damage and the repair could take some time. one to two weeks. so this is not a short fix. the sooner that they get mass transit up and running, that will help alleviate the pressure with cars trying to get in, the sooner they get power back, more gas stathss can get up and running and they can pump the fuel and the gas out of those refineries and out of the

holding tanks and into the tankers that are standing by. we have seen already, carl, here at this gas station three tankers pull in, each carrying 8,800 gallons of gas so there is gas out there. they came in from philly. there is gas out there. the question is getting it in and getting it to the people who need it the most. back to you. >> yeah, we heard a story this morning, tom, and you're talking about the cars, in some cases it's just the generator or the gas can that they need to fill. there was one -- we heard a story about someone whose block they can't remove the tree that has fallen because there's no gas to power the saws. it's just an incredibly complicated venture. tom, thanks a lot. >> reporter: endless cycle and it's all misery. take care. >> want to bring in bob pisani with a look at what's moving at the big board and why we're lower after the jobs number. >> let's talk about that. we start on the upside, futures popped up five points when the jobs number came out. dow was up as much as 50, 53

points right at the open but you see we've sort of drifted lower. we've come off the lows, certainly that's a good sign but a lot of people talking about, gee, the numbers were good. what's not to be happy about? a lot of theories floating around. let me put up a couple of them for you. i think the most important one is what's going on with the dollar. the dollar rallied noticeably and the numbers that we get make qe a little less likely. that means dollar strength here. that causes materials and commodities to move to the downside. that's a likely reason why we're under pressure in some parts of the market. there was some disappointment with the payroll numbers. some mentioned weak hourly earnings and weak average hours worked. here is a favorite one flooded around, sell the winners. if president obama wins, this helps him marginally at least, capital gains taxes go up. if you look at the ten biggest stocks, eight of the ten are to the downside. google and ge to the upside. and some people are saying that

the aftereffects of sandy are more serious than anticipated. that certainly is true. i can tell you nerves fraying here a little bit. hopefully things will improve over the weekend. take a look at the major sectors here. gold is getting a lot of attention. not only are we below $1,700. almost down 2%. that's a big move for gold to make in any day and you can see 5% and 6% declines. these are gold stocks here. that's pretty noticeable. another thing you would say that supports the dollar weak ps, gold stocks should be down on a big dollar up move so should material stocks. it's the material names that are the weakest out there. you will see alumina, freepo freeport-mcmor freeport-mcmoran, cliffs natural all down about 3%. this supports the theory that the dollar strength is having some impact on the markets overall. >> thanks, bob. another capital market is up. gary, you're watching sandy today. >> just trying to get everything organized here. shactman showed earlier in the

program with the two generators set up for the marathon. those generators come from long island. they have not even cleaned up the debris yet. forget about power coming back on. everybody knows in terms of what i said yesterday in terms of the marathon. i kind of somehow feel i have to speak, i have to be the voice for many in the industry because, you know, the industry is so many times knocked. there's not a person who i have spoken to who does not think this marathon should not happen. i want to read one thing of interest. one of our producers pointed this out. it was sent into the marathon. dear ing new york city marathon, since i paid my entry fee for the marathon but have canceled in light of sandy, please let me know where i can pick up my gallon of water that i'd otherwise drink on the course, my apple, pet zeretzels. i'm sure there is someone who could use these items. i would deliver it to them,

thank you. that is what i'm hearing. that is what the public should know is what is going on. not these people running around central park laughing and having a good time. i have run the marathon five times, i love it. i mentioned long island. i have to read this to you. check this out. the local utility, but this can go for anything in the northeast. a quote, i will advise the trustees to consider this experience and utilities past performance responding to major storms when, when the hopes to renew its contract are up for renewal. now, this is what's interesting. look at the data. that was cuomo september 2, 2011, folks. i know everybody behind me in this building who is out in long island who lives in new york and knows who cuomo is, thanks last year, nothing is changed. let's help in the next year not just for long island northeast but all the country that these utility companies who have a monopoly, something changes. that's all i can say to end this week. and i hope everybody has a

peaceful weekend after what we were through here. thank you, guys. >> a little applause for what gary is saying. thanks so much. meantime, many are struggling to clean up following sandy. natural disaster recovery companies are sending out carpenters, painters, roofers, cleaners to help bring life back to some sense of normally. the largest property restoration company in the world joins us this morning. thank you for your time. >> thank you for having us. >> give me a sense of what you have been able to mobilize in the past 48, 72 hours. >> so far we have upwards of 1, 500 men on the ground in the area. 59 mobile trailers filled with generation, power equipment, and all the staples we will need for water extraction and dehumidification to take place. in addition to that, we had a conference call this morning where from another 32 of our offices stretching as far west as fresno, california, will be sending in another 400 people

later today. we would anticipate probably having upwards of 3,000 people on the ground within the next four to five days. >> you've been doing this for a while. you were with the company since '84. i can't imagine the number of disasters you have helped coordinate the recovery for. seeing anything like this in your time? the confluence of population density, power, the snow? i mean we're talking a very large part of the country. >> this is a very extraordinary situation. the density that we're facing and the enormity of this storm and the geographic area it's covered, new jersey, new york, upward through canada. our canadian offices are also mobilized and working on losses. this is something out of the worried. we are encouraged though that every hour of every day we are seeing small signs of progress. and as has been report you

see great acts of heroism being performed by people each and every step of the way. we've seen not only belfor people providing great services, but acts of kindness out to knows who need it so they can give acts of kindness out to others and the spirit with which we're meeting people is incredibly encouraging. >> we just heard -- had a report on the limits of the distribution of gasoline. obviously, we know about the lack of power in so many areas. has that been an impediment to your efforts? i'm not even sure if it's tough for buses and commuters to get gas, you have to get it from basically the same places, yeah? >> well, we have already have processes in place where we're bring in gasoline from michigan. we have our own tankers that are subbed out to us and pump directly into our vehicles. gas is an issue.

power generation is an issue and we have our own power self-contained units to power up the equipment we need to extract water and put in dehumidification equipment. we have to prevent mold and mildew from growing so that these retail center kansas city open up and that these office buildings can open up and people that can support local communities can get back to work just as fast as possible. >> well-said, sheldon. thank you so much for your time. appreciate it very much as we continue to keep an eye on the work you're doing. sheldon yellen. >> thank you. >> joining us from belfor. we're days away from the election. how could today's race be affected by today's jobs report. an economic adviser to the romney campaign will join us next with his take. be back in a minute.

coming up in less than ten minutes on halftime, jobs, stocks, and the lest. it's crunch time for the market and our traders have the best plays days before we all head to the polls. the gas crisis, long lines, short tempers. is there any relief in sight? and from the controversial decision to hold the new york city marathon to the big apple shake-up. the grade on the week in leadership. carl, we'll see you at the top of the hour. >> sounds good, scott. meantime, the president and mitt romney both speaking within the last hour on the jobs number.

andy puzder is an economic adviser to the romney campaign. always good to have you. >> great to be here. i want to extend my sympathies to everybody in the northeast. it looks horrible what we're seeing on tv. >> some of these pictures out of staten island and new jersey, it's unbelievable to watch. let me turn your attention to the jobs number. we've been trying to find some hair on this, and there are some critics, not as many as last month. what's your take? >> if we're going to say 7.9% unemployment is a good number, we're really setting the bar low for this president. it's higher than when he took over. it's higher than any incumbent since franklin roosevelt and it's certainly higher than the 5.4% he said unemployment would get down to if we spent a trillion dollars on stimulus. plus, we've had 0% interest rates, we've had the fed printing money. the government has done everything it possibly can to get this number down, and it's not working. we need private sector needs to get this number down. it needs to be american entrepreneurs and businessmen,

and while we have president obama in office and we're pursuing his policies, that's just not going to happen. >> we have -- most of it is private. the government one of the few sector that was down. it's certainly better than the alternative, isn't it? >> it's better to have it up, about you we had 211,000 people join the noninstitutional population, which is the number of people that could go into the labor force, and we created 171,000 jobs. so it's not enough, number one. number two, you have still got a labor participation rate that is as low as its been in 30 years. it's at 68.3%. a lot of people are still dropping out of the labor force. they're going into other programs. we've had about 1.2 million jobs created under this president. we've had 1.3 million people go into social security disability. we've had 32 million more people join the food stamps program. we're up around 47 million people now. so the number -- you certainly

have talking points if you're on the other side if you're supportive of president obama. there's things you can say out of this, but you can't deny it's up. you can't deny there's -- 9 million people entered the population, the noninstitutional population since he came in office. 1.2 million jobs created. it's not enough. we're still in trouble. and look at the wage and hours. you've got a whole lot of part-time jobs being created because under obama care, if people work less than 30 hours you don't have to cover the cost. you get two jobs for every one full-time job that gets wiped out you get two part-time jobs. it's not good. >> one question on sandy, no one thought we'd have this to deal with so close to the election but have you lobbied the campaign to have the governor explicitly reverse his assertion that disaster management should be transitioned to the states? >> i have made absolutely no effort to do that. in fact, i think mayor bloomberg didn't even say to the president

kind of stay out because we don't need the confusion of more bureaucracy. same thing that the mayor of new orleans had said to president bush, although president bush got criticized severely for not going in. i think you need to handle these things in a very organized and systematic way, and i think it can be better handled at the state and local level. so i have not lobbied him to change his position in any respect. >> andy, thank you so much for your time. appreciate it very much. >> thank you. >> andy puzder joining us from santa barbara. coming up, we'll tell you how you can join us in helping individuals and their businesses recover.

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usually on jobs friday we hold our nail the number contest which challenges you to estimate the payroll number. whoever gets closest wins a gift from the show. tonight we're challenging you to give the gift of hope to those most effected by sandy's destruction. a benefit concert to aid victims of the storm that devastated the northeast will air on the networks of nbc universal tonight at 8:00 p.m. eastern. bruce springsteen, bon jovi, sting, christina aguilera, and billy joel will